Paladin Energy (PDN)

Morgan Stanley has maintained its “overweight" on
Paladin Energy
after the uranium production and exploration company released its second quarter production report.

Paladin’s production for the first half of fiscal 2013 was 4.1 million pounds, 3 per cent better than the broker’s expectations.

But Morgan Stanley says under its estimates, Paladin’s financial position will become tight by the end of 2013 if uranium prices remain below $US45 per pound. “Overall, the quarterly result reinforces our view that Paladin is operationally sound, but spot prices remain a risk."

Morgan Stanley estimates Earnings Per Share to be -1¢ in 2013, 6¢ in 2014 and 9¢ in 2015.